The Special Investigating Unit says it’s preparing a detailed report that shows how more than R300 million was stolen and or misappropriated from the National Lotteries Commission.

The report will be handed over to President Cyril Ramaphosa, but individual cases will also be dealt with by the National Prosecuting Authority for further action.

The SIU told Parliament on 02 March that it has sent the names of Lottery Board Members implicated in the looting of funds, for prosecution.

They are investigating 50 separate cases from as far back as ten years ago – with only 12 of the 50 cases finalized so far – the total of funds stolen from the National Lotteries Fund could rise sharply.

Monies were allegedly funneled to board members via beneficiaries and even attorneys. It’s reported that some Lottery Board members bought houses, paid for school fees and even used the money to maintain a farm.

In a statement the Democratic Alliance said: “The DA has been reliably informed that the allegations levelled against the NLC leadership includes acts committed by individuals including former board chairperson, Alfred Nevuthanda, former board member William Huma and, suspended COO, Philemon Letwaba.”

“A large portion of the allegedly misappropriated funds were intended for drug rehabilitation centres, old age homes, women and youth empowerment. They were allegedly spent on luxury cars and houses instead,” the statement added.

The Special Investigating Unit has found that more than 2800 Covid-19 tenders in government were irregularly awarded.

President Cyril Ramaphosa authorised the release of the final report of the investigation by the SIU into Covid-19 procurement.

The unit investigated 5,467 contracts with a total value of R14.3 billion.

In a statement, the Office of the Presidency says: “The release of the report follows the President’s authorisation on 23 July 2020 of an investigation by the SIU in terms of Section 4(1)(f) of the Special Investigating Unit and Special Tribunals Act, No 74 of 1996.President Ramaphosa authorised the SIU to probe any allegations relating to the misuse of COVID-19 funds across all spheres of government.The President gave the commitment that if the SIU found evidence that a criminal offence had been committed, it was obliged to refer such evidence to the National Prosecuting Authority.”

Key findings include:

  • The SIU made 224 referrals for disciplinary action against officials in government departments or entities.
  • The SIU made 386 referrals to the National Prosecuting Authority, as well as three referrals for Executive Action.
  • The SIU made 330 referrals for Administrative Action, which includes blacklisting.
  • The rand value of actual cash and assets to be recovered on the basis of the investigation is R551.5 million, while cash and assets recovered to date total R34.2 million.
  • The value of potential loss prevented by the investigation is R114.2 million, while contracts set aside amount to R170.4 million.

Ramaphosa says it’s unacceptable that so many contracts associated with saving lives and protecting livelihoods were irregular, unlawful, or fraudulent.